Sales of 100+ HP Tractors Increase for Second Month in a Row

For the second straight month, unit sales of 100+ horsepower ag tractors increased in the U.S., according to the new data from the Association of Equipment Manufacturers (AEM). March sales jumped 3.2% compared to last year, following February’s increase of 2.8% compared to 2023. Unfortunately, that was the only category showing an increase in this latest AEM report.

Total year-to-date unit sales of ag tractors and combines were below 2023’s pace. Tractors were down 13.3% while combines fell 20.4%

“Seeing the continued growth in 100+ horsepower tractor sales is a welcome sight as 2024 progresses, despite the softness in other tractor sizes” said AEM Senior Vice President Curt Blades. “As we start the planting season, we remain optimistic for the future of the ag equipment market.”

EDITOR’S TAKE:

It is always welcome news when we can report an increase in sales of ag equipment. In this instance, however, it was only one category. What can we take from this report? Farmers are willing to purchase what they need for their current operation (i.e., spring planting and hay season), but they are beginning to be a bit more cautious about spending. This is especially true if they need to finance at current higher interest rates. Like others, they are waiting for interest rates to decline and who knows when that might happen. The good news is that you have a couple tools in your arsenal that just might appeal to them. CADFI – the latest financing option presented by the Certified Ag Group, exclusively for CAD members, offers competitive interest rates and terms that fit the cash flow for farmers/ranchers. The other tool is AgPack®, which can lower their operating expenses by providing up to $35,000 in exclusive rebates and discounts. These tools and more are only available at CAD member dealerships like yours.